A large discount department store chain advertises on television (X1), and on the radio (X2). A sample of 12 of its stores in the certain area showed expenditures and revenues during a given month. All figures are in thousands of dollars. The dataset is summarised below.
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![QUESTION 1
A large discount department store chain advertises on television (X1), and on the radio (X2). A sample of
12 of its stores in the certain area showed expenditures and revenues during a given month. All figures
are in thousands of dollars. The dataset is summarised below.
Television
| Radio advertising Television & Radio advertising
advertising
12
X'X =
115 1191
12
X'X =
| 68 410] (X'X) =|-0.001810563
0.109897957
0.000189003
- 0.001625893 -0.00000012663 0.000287136
647
X'Y =
6393
647
X'Y :
3868
[-10.11045936]
YY= 39973 and b, = 1.956197151 and Ex,X, = 654
7.990629999
a) Interpret the given slopes.
b) Use the given information to find X'Y for the two independent variables (i.e. Television & Radio
advertising).
c) Regardless of the results of the overall regression significance test, test for the significance of
the individual predictors using the partial F-test.
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